Waiver Continues for IARD System Fee for Investment Adviser Firms;Modest Increases Set for Exam Enrollment & Form D Filing Fees

WASHINGTON, D.C. (November 1, 2017) –The North American Securities Administrators Association (NASAA) today announced the continued waiver of Investment Adviser Registration Depository (IARD) system fees for state-registered investment adviser firms, and modest increases to the enrollment fees of the NASAA Series 63,65, and 66 exams and the EFD system fee for Form D, Rule 506. NASAA also announced the continuation of substantially reduced initial set-up and annual system fees paid by investment adviser representatives (IARs).

“State securities regulators do not take lightly the cost of compliance and we strive to balance these costs against those of providing investor protection services benefiting investors and businesses alike,” said Joseph P. Borg, NASAA President and Alabama Securities Commission Director.

For 2018, the IARD system fees for state-registered investment adviser firms will be waived and the initial IARD set-up and renewal fee will continue to be $10 for investment adviser representatives, an amount reduced significantly from the $45 charged when the IARD system became operational in 2001. Borg said NASAA’s Board of Directors will monitor the IARD system’s revenues and, if warranted, make future adjustments to ensure the effective and efficient operation of the system.

The IARD system is an Internet-based national database sponsored by NASAA and the SEC that provides investment advisers and their representatives a single source for filing state and federal registration and notice filings. This information is used by securities regulators and also to help the public research an investment adviser’s background through the Investment Adviser Public Disclosure (IAPD) database, which provides instant access to registration documents filed by SEC- or state-registered investment advisers. IARD system fees fund user and system support and system enhancements.

Effective January 1, 2018, the enrollment fees for the NASAA Series 63, 65, and 66 examinations will increase by $10. Candidates enrolling for the Series 63, 65, or 66 on or after January 1, 2018, will be charged the following: Series 63 ($135), Series 65 ($175), and Series 66 ($165). The last exam fee increase was in 2016.

Also effective January 1, 2018, the one-time system use fee for each Form D Rule 506 offering making its filings through NASAA’s Electronic Filing Depository (EFD), will increase by $5 to $155. Borg said this one-time system fee covers initial, amendment and renewal filings made through EFD and noted that the increase is the first since the online filing system launched in December 2014.

“EFD has modernized and streamlined the process for issuers to file notices, or copies, of Form D Rule 506 offering with state securities regulators. Issuers benefit from this uniform and effective regulatory tool, which also strengthens investor protection by improving the transparency of Form D filings. We look forward to enhancing the system’s functionality for issuers and states alike,” Borg said. The EFD filing system currently is used by 46 states and has processed more than 100,000 filings (including Form D, 506, notices; amendments; renewals; terminations; and withdrawals) since its launch.

In addition to funding increased system administration, maintenance and oversight costs, Borg noted that revenue generated both from examination and EFD fees also helps support NASAA’s continuing efforts to expand and enhance the training and education of its membership.

For More Information:Bob Webster | Director of Communications
202-737-0900